Home Building picking up in Chandler (& Chandler News) (Phoenix: foreclosure, mortgage)

[asufan]

For those of us that live in the area, this is an article from azcentral. I posted here over the last several months that a lot of the new home communities around here have been selling and building like crazy. I guess that's good news for the area, as the opinion of the article seems to be that Chandler is going to come out of the mess sooner than most valley cities. This article fails to mention Blandford Homes subdivision just North of Hamilton HS, that they bought last year (80+lots) and they appear to be sold out or nearing closeout. They do mention Sun Groves, which is waaay out there in SE Chandler, and I don't think will be as successful as the others. There's still a long way to go, but it's nice to see the demand as strong as it is.

Home building is picking up in Chandler

Also in the news recently is U of A (booo) starting a satellite campus on the Price corridor in Chandler in a portion of the old Motorola builing. It's focus is supposed to be on High Tech/Bio Technology education. I think this is all good news for Chandler. Now if we can just start getting those Bio-Tech companies that the city is courting for the Chandler Airpark, my property values may go up some day.

UA campus will target Chandler's high tech

[sh9730]

Building picking up down here in Casa Grande also. DR Horton is actively building specs in one of their subdivisions, Beazer homes has just opened up a phase of a subdivision that they bought the lots from Fulton homes (about 100 lots), and both of our main 55+ communities really never stopped (Meritage Mission Royale and Ironwood Commons - not sure of builder for those).

So far this year about 25 new permits pulled. Thats after about 250 total permits last year. That may not seem like alot, but at 200+ homes a year that is about 400-500 new people a year (some of them part timers though). For a city of 50K that isnt too bad of growth in this environment.

New commercial has also picked up down here. New hotels, retail/restaraunt, offices, all being built down here as we speak. The existing strip malls are also starting to fill up, although there are still a few that are in complete foreclosure. Hopefully they will be bought soon.

[Grannysroost]

Originally Posted by sh9730

Building picking up down here in Casa Grande also. DR Horton is actively building specs in one of their subdivisions, Beazer homes has just opened up a phase of a subdivision that they bought the lots from Fulton homes (about 100 lots), and both of our main 55+ communities really never stopped (Meritage Mission Royale and Ironwood Commons - not sure of builder for those).

So far this year about 25 new permits pulled. Thats after about 250 total permits last year. That may not seem like alot, but at 200+ homes a year that is about 400-500 new people a year (some of them part timers though). For a city of 50K that isnt too bad of growth in this environment.

New commercial has also picked up down here. New hotels, retail/restaraunt, offices, all being built down here as we speak. The existing strip malls are also starting to fill up, although there are still a few that are in complete foreclosure. Hopefully they will be bought soon.

I hope so, as I know where there is a mall in a development or beside that is completely empty....

[las vegas drunk]

I hate to be the naysayer here and rain on anyone's parade, but this is going to be short lived before the total and complete crash. These houses will be worthless by the time they are finished, so I do not even know why they are building them?

The Coming Foreclosure Flood

[asufan]

Originally Posted by las vegas drunk

I hate to be the naysayer here and rain on anyone's parade, but this is going to be short lived before the total and complete crash. These houses will be worthless by the time they are finished, so I do not even know why they are building them?

The Coming Foreclosure Flood

I'm surprised they didn't call you for a quote in the article, since you seem to be an expert on the Phoenix market and sub-markets, and economic development..

[las vegas drunk]

Originally Posted by asufan

I'm surprised they didn't call you for a quote in the article, since you seem to be an expert on the Phoenix market and sub-markets, and economic development..

This is related to the whole nation, not just Phoenix. Just wait until are the option ARM's and alt-a's reset at the end of the year if you don't believe me.

[sh9730]

I cant know what will happen like some. But, there was a piece of VERY good news yesterday. NATIONALLY people that had been 30 days late on their mortgage payment went way DOWN! Now, the 90+ number didnt go down much, but didnt go up either.

There are a myriad of things that will effect this outcome. Just no way to know how it will all play out until it does. LVD may be right that there will be many Alt-A defaults, but there are many who ve been saying that for two years now, and then who knows what will happen after the tax credit expires (if it does). Jobs may or may not get better.....

Just too many factors. The OP and I were just pointing out information. Not drawing a conclusion from that data - yet.

[asufan]

Originally Posted by las vegas drunk

This is related to the whole nation, not just Phoenix. Just wait until are the option ARM's and alt-a's reset at the end of the year if you don't believe me.

Yeah, I have known about the concerns about option ARM's resetting for quite a while. But that's not what this thread is about. And is not about the whole nation. Go ahead and post that in another thread if you wish.

[roosevelt]

Obviously any new homes are going to be absolute bargains compared to prices two years ago. I saw some new 4,000 square foot homes in the Lake Pleasant shopping center area for under $300,000; labor is cheaper, materials are cheaper and the builder isn't marking up the homes anywhere near as much as before.

[asufan]

Originally Posted by roosevelt

Obviously any new homes are going to be absolute bargains compared to prices two years ago. I saw some new 4,000 square foot homes in the Lake Pleasant shopping center area for under $300,000; labor is cheaper, materials are cheaper and the builder isn't marking up the homes anywhere near as much as before.

Another thing that I am seeing in my neck of the woods, at least, is that the builders are snapping up these subdivisions that have been abandoned by other builders. For instance, the Blandford Homes that I mentioned on Arizona Avenue (I think the neighborhood is called Portello), was originally a Randall Martin Home development, and they went out of business. When the bank took the development back, Blandford was able to purchase it at pennies on the dollar, and can obviously sell the houses at market rate and still make a profit. Right now they start at $209,000 (small house, small lot), and I think they were close to $400,000 starting price point when Randall Martin was running it. They just sold 48 homes in 5 weeks!, which is amazing to see a builder in these times peeling off almost 10 sales/week. Fulton Homes has been successful in the area as well, but they secured that land a long time ago, and are able to price the homes a little lower, and introduced a couple smaller, more affordable floor plans. Plus, Fulton Ranch is an amazingly well done neighborhood in a great location, which I think helps.